I haven accepted over the phone.Thank you for all your support.Few questions for the experts
Creditors pay for the charges- Not sure about that. First 5 months nominee fee and 15% supervisors fee. What about any pro rota payment. One payment paid end of December for January payment. Any advise is greatly appreciated.
Consider the charges as paid from the portion of debt you write off. Unless you have a high dividend in which case you are paying some or all of your fees. In my case, pound for pound I am paying my iva just a few hundred shy of my total debt yet because of fees my creditors will only receive 71p/£. So they are paying the fees out of money yu owe them.
I fear I may have complicated this but cross my fingers it makes sense!
Hi Victor - however the payment of fees fall, whether it be at the beginning or not, it is stil the creditors who agree as part of the IVA arrangement, to apportion part of the IVA pot back to the IP to cover fees. Without an IP you cannot do an IVA. All you should be concerned about is has your monthly payment been calculated correctly, i.e is it affordable, and how long will the IVA last. Have you picked a company that charges a couple of extra months on top of the normal 60 months to cover additional fees - if so this should have been made clear to you so you had the option of agreeing to it or seeking help from a company that does not.
Either way, an IVA is about paying what you can afford each month to create an IVA pot which the creditors and the IP will agree who gets what share. When a payment is made shouldn't matter - if it is December for end of Jan then at the end of you IVA your final payment will made in one month to cover the last month after it.
Our clients, and clients of many other companies think their IP is worth their weight in gold so are not concerned about who gets what as long as the IP is doing the best job representing them and the creditors have accepted their share!
I hope this makes sense and answers your questions.
Regards,
Regards, Tina Shortland, Debt Advisory Manager for Melanie Giles at Debt Advice TV.
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Thank you for your prompt reply. I am sure you all agree that IP fees is must and wroth every penny of it. They are the people who brought us out of the situation.
A good IP is worth his/her weight in gold and I don't begrudge any of the fees they get paid. They're looking after me!
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
My total debt is in the region of £59k --- my IVA payments over 5 years, including IP fees is less than half that -- not to mention the interest I will no longer be covering! So the fees my IP gets are more than OK with me
My opinions are merely that .. opinions based on experience. Always seek professional advice.
IVA Completed 23rd July 2013 .... C.C. 10th January 2014
I can't praise my case manager and the other staff I deal with highly enough. Funny, understanding, helpful and always return calls straight away...my boyfriend could take a few tips lol!! Definitely worth every penny (even if I was paying myself). I am eternally And pathetically grateful to them!
I thought that victor had been accepted for an IVA, but having read his post again I'm not sure if he has been accepted or not or whether he is just starting out.
He certainly shouldn't be talking about pro rata payments if he has.
Sharing from experiences of dealing with debt
The greatness of a man is not in how much wealth he acquires, but in his integrity and his ability to affect those around him positively.
Bob Marley. http://kallis3.blogs.iva.co.uk
